In a significant step toward enhancing bilateral economic ties and global trade connectivity, AD Ports Group and Egypt’s General Authority for the Suez Canal Economic Zone (SCZONE) have signed a landmark 50-year renewable usufruct agreement to develop a 20 km² industrial and logistics hub in East Port Said on the Mediterranean Sea.
The agreement, signed in Cairo and witnessed by Egyptian Prime Minister Dr. Mostafa Madbouly, marks the launch of the KEZAD East Port Said Industrial and Logistics Zone, a strategic project poised to transform East Port Said into a gateway for East-West trade, leveraging its unique geographic position at the entrance of the Suez Canal.
The signing ceremony was attended by key dignitaries, including UAE Minister of Industry and Advanced Technology Dr. Sultan Al Jaber, UAE Minister of Investment Mohamed Hassan Alsuwaidi, Egypt’s Deputy Prime Minister for Industrial Affairs and Minister of Transport, Lt. Gen. Eng: Kamel Al-Wazir and Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO of AD Ports Group.
Strategic Infrastructure Investment
AD Ports Group will oversee the development, construction, financing, and operation of the project in phases. An initial investment of $120 million will be allocated to technical studies and the development of Phase 1, which will span 2.8 km². Construction of this first phase is expected to commence by the end of 2025.
Key regional and international partners, including Hassan Allam Holding, one of the Middle East’s foremost construction and infrastructure groups, will anchor the project.
Captain Mohamed Juma Al Shamisi commented, “KEZAD East Port Said represents a significant milestone in our Group’s expansion strategy in Egypt. This strategic partnership is a testament to the strong UAE-Egypt economic ties and our commitment to building integrated ecosystems that enhance global trade flows.”
Strengthening Egypt’s Global Trade Hub
Waleid Gamal El-Dien, Chairman of SCZONE, highlighted the initiative’s strategic importance, noting, “This project reinforces SCZONE’s role as a pivotal trade and industrial hub. It is part of our efforts to attract high-quality investments and create a competitive, integrated environment with cutting-edge infrastructure and global connectivity.”
Located at the northern entrance of the Suez Canal, the East Port Said Industrial Zone offers deep-water berths, advanced infrastructure, and seamless access to regional and global markets. It is directly connected to the modern East Port Said Port and integrated into Egypt’s national logistics and transport network.
Ahmed Al Mutawa, Regional CEO of AD Ports Group, added: “This zone will catalyze Egypt’s industrial growth. It is designed to attract foreign direct investment, create jobs, support exports, and facilitate technology transfer.”
Expanding Regional Presence
This project is the latest in AD Ports Group’s strategic investments in Egypt. Since 2022, the Group has acquired Transmar, TCI, and Safina B.V., and secured concessions to develop cruise terminals in Safaga, Hurghada, and Sharm El Sheikh, along with a $200 million cargo terminal in Safaga.
A memorandum of understanding (MoU) was also signed with Hassan Allam Holding to co-develop the KEZAD East Port Said zone and explore future infrastructure collaborations across Egypt.
A Hub for Global Supply Chains
The East Port Said project is aligned with global trends to establish regional manufacturing hubs to ensure more resilient supply chains. It strengthens the UAE-Egypt partnership and positions SCZONE as a key investment destination linking three continents through one of the world’s busiest maritime routes.
SCZONE currently encompasses four industrial zones and six ports, covering a total area of 455 km². Over the past 33 months, it has attracted 274 investment projects with a combined value of $8.3 billion, further underscoring investor confidence in the region’s economic potential.
–Input WAM
